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[quote user="Murphy Siding"]      Meanwhile....back at the DM&E.....Overview of what I'm getting out of this discussion:  Because of the capital situation of rail investment, the only way to finance something like this is with Government loans.  Both BNSF and UP used some Government loans to get  their lines built/built up into the PRB.  The DM&E project would bring jobs and economic improvement to (most of>>>don't ask Rochester) the areas it impacts.  I'm in agreement with most of these ideas.      I do find myself skepticle about some things.  Is it really neccessary to add a third railroad into the PRB?  Why does it require more than two to have competition?  [/quote] Do a Yahoo Search (I don't do Google, bunch of Commie bastards![|(]) of "Duopoly vs Triopoly".  You should find some studies remarking on the relative difference of simply adding a third competitor to the mix.  In short, duopoly rates are not that far removed from monopoly rates, whereas triopoly rates are relatively close to true competitive rates. [quote] Why isn't DM&E heading to the northern PRB, where BNSF has the field all to itself?  [/quote] Most of the prime coal mines are in the Southern end.  DM&E will run a north-south line alongside the Orin line. [quote] Other than glittering generalities, is there anything proposed to put additional non-coal freight on the line?  Where will this coal go?  Will DM&E send coal down the Mississippi, at Winona, Minnesota?  Will DM&E have to partner up with other railroads to get the job done?  Do BNSF and UP have enough economic power to keep this from happening?  [/quote] Don't know all the details yet, but it may be possible that this new PRB line will allow a new interchange point with UP for some non-coal westbound traffic.  Yeah, the same for BNSF, but I doubt BNSF will want to route more non-coal westbound freight onto it's Wyoming lines.  BNSF will probably keep it's DM&E/D&S interchange for grain et al via Aberdeen. Yes, BNSF and UP could use the full force of their power to try and stop the project, but with the spector of reregulation hanging over their heads they can't squawk too loudly.
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